Posted by 9jabook.com on October 10, 2008 at 4:28am
The future of Social Networking is in your wallet! ...and the wallet of your closest friends, and their closest friends, and so on and so on.
Forget the hype about total networks on each of the many social networking platforms ... it's just that... hype. There is no point in building a platform of social networks without also providing the means, method, and support system to allow those Network Creators and their members to make money... lots of money! The halcyon days of Social Networking version 1.0 are OVER my friends. The world economy, and the Web 2.0 economy, are now into RED ALERT mode.
Unless you plan on surviving the financial "nuclear winter" by living off your rich uncle's inheritance money, you need a PLAN on how you can build a home-grown, bootstrapped business that can generate real profits through Social Networking.
The Secret is in getting back to Basics - Human Nature 101
Humans are pack animals. Call it a "herd" mentality. We like to believe that we think for ourselves, but in reality most of us follow the lead of the others around us and try to pick up the signals of "danger" or "opportunity" in our immediate environment. This reactionary mechanism can be harnessed by those who understand it.
If Network Creators are provided with a means, a method, and a support system to create MICRO ECONOMIES within their own particular niche, then the entire world of Social Networking will be turned on its head. They can draw other members of their own "herd" who have similar interests and who likewise are spooked by recent economic events to focus their energy and spending on focused activities, both business and pleasure. These members will also want to participate in the profit-generating potential of a niche Network that is empowered with the proper membership tools.
Rather than thinking that people simply want to create destinations based on a hobby, activity, business, or a sport - we should be thinking that people want to create ECONOMIC destinations based on these niches, and give them an ability to utilize the wealth of information and interaction that goes on within each of them.
It's the DATA stupid!
It is patently absurd for a platform to suggest that Network Creators can create any sort of network they wish and take their data with them -- when in fact it is technically impossible without hiring a special developer to write custom tools or programs at a cost exponentially higher than that platform's premium membership fees. Why would a person interested in creating profit waste time with this nonsense?
Instead, the future of Social Networking is with platforms that provide INHERENT TOOLS that give FULL CONTROL to the Network Creator to build MICRO ECONOMIES that generate extremely valuable DATA from the interactions between the members of that niche network. This data can be recycled within the network itself for a multitude of purposes that perpetuate the financial cycle, including, but not limited to:
1. Cross Marketing between members;
2. Trading Posts / Barter exchange between members;
3. Advertising by members to others that come to the niche network for information;
4. Reselling of premium content generated by members themselves;
5. Aggregation of data by many members regarding shared events or reference points, where the sum of the whole is worth more than the individual pieces (crowd-sourcing);
Who shall lead us to the Promised Land?
One word... TRUST! Is the Emperor wearing any clothes today? Are you being told one thing and then given another? Does the leader of your platform have a history of behavior that is contradictory to the goals that they promote publicly? These are all relevant questions to ask.
Those who survive the present "panic mode" will do so because they turn LOCAL instead of GLOBAL, and try to focus on making the most money from the smallest group of similarly situated members. They must also TRUST that the PLATFORM they choose has a business model that is designed to make this possible. Once a Network Creator commits to building a network on a platform, it can be a DISASTER if that Platform's leader decides to exact a pound of flesh and BAN or DELETE the Network or Network Creator from the platform - destroying months of work and hundreds of thousands of valuable data objects.
When smaller IS better!
The PLATFORM must not have a goal of creating the greatest number of total networks. This merely creates a dilution of the Platform's capital and resources. Rather, the Platform must create tools and services that allow a SMALLER group of networks to make a larger NET PROFIT. The less mouths there are too feed, the more likely it is that the tribe will survive.
Why would a Platform brag to its tribe members (Network Creators) that it has hundreds of thousands members ... when the reality is that all of these tribes are feeding from the same plate of Platform resources? The only possible rationale would be an desire to sell out the tribe to a bigger tribe down the road since the more mouths there are to feed, the less resources are available for each tribal member.
Instead of trying to grow infinitely large, a platform should give each member the tools to go out and hunt and gather for themselves... with each successful kill being shared up the chain with the tribal leader (Platform). This symbiotic method ensures the survival of both the indidudal Networks as well as the platform as a whole.
Who's your Daddy?
Let us not forget the most important three letter word in the dictionary... FUN! It is a proven fact that people who are having fun are more willing to spend money. Can you say "VEGAS" anyone? Why should Social Networking be so serious?
The future of Social Networking involves a RELAXED and self-effacing educational process for Network Creators. The PLATFORM must have an open and supportive environment for the Network Creators who are trying to learn how to build profitable MICRO ECONOMIES. It should not be PUNITIVE or RETRIBUTIVE towards those who express their opinions, fears, concerns, or complaints. The Successful Platform will be the one that LAUGHS AT ITSELF when necessary, while also making sure that there is no hypocrisy in their own actions. It is FINE to be the guardian of the greater good and to sequester trolls when needed, but this does NOT mean censorship of those who indicate that the platform's PROMISES have not been met. And when the time comes for an explanation... PUHLEASE... "just the facts ma'm"... no hyperbole or double-talk!
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